PortCalls
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*PRBCB goes after ÒerringÓ brokers, corporations

*UPS sees strong Asia-Pacific business

*NEDA, PCCI settle on multi-operator scheme for NH

*PPA to sink P20M in Currimao port

*New AFPI Board sworn in

PRBCB goes after ÒerringÓ brokers, corporations

THE Professional Regulatory Board for Customs Brokers (PRBCB) is now actively pursuing violators of the law against corporate practice in the customs broker profession.
ÒWe will now start deliberating on complaints filed by brokers against corporations that continue to prepare documents to clear cargoes despite repeated rulings barring corporate practice of the profession,Ó PRBCB chair Constantino Calica told PortCalls.
ÒI am once again reiterating that only licensed customs brokers may sign import and export entries; no corporations are allowed to practice the customs brokerage profession,Ó he stressed.
Calica said the complaints, which gathered dust at the PRBCB for almost two months to give way to the examination and oath taking of the new batch of customs brokers, all involve violation of Republic Act 9280 or the Customs Brokers Act of 2004, specifically Sections 28 and 29, as well as PRBCB memorandum circulars 9 and 10 issued this year.
The PRBCB chairman declined to give identities of the respondents but hinted that some have already been sued in civilian court. In case guilt is proven, the respondents face fines of between P5,000 and P500,000, and not cancellation of license or imprisonment. The last two penalties, he said, need to be justified based on the merits of the complaints.
Meanwhile, an affidavit-complaint has separately been filed recently at a Pasay court against Airlift Asia Customs Brokerage for alleged violation of RA 9280, specifically the provision barring corporate practice in the brokerage profession.
Petitioner Virgilio Laudit, a customs broker, claims Airlift Asia violated RA 9280 by processing papers of two importers.
Airlift Asia has called the affidavit-complaint a ÒharassmentÓ case.
RA 9280 enacted on March 30, 2004, effectively regulates the practice of the customs broker profession. Section 29 of the law provides that the customs broker practice is a professional service and as such Òno firm, company, or association may be registered or licensed as such for the practice of customs broker professionÓ.
In addition, Section 28 provides that no person shall practice or offer to practice the profession, or use the title unless one is a registered licensed customs broker.
PRBCB circulars also prohibit the employment of customs brokers by corporations, noting such would cause brokers to lose their impartiality.
Also under the PRBCB circulars, natural persons or sole proprietorships and juridical exporters may not delegate the customs clearance of their goods to their employees or other persons if they cannot perform such function but should engage the services of an independent customs broker.
There is much confusion in the industry because there is another government issuance, Customs Administrative Order 3-2006-A which, on the other hand, authorizes customs brokerage corporations and freight forwarding firms to lodge customs entries and/or use their employee-customs representatives to transact business at the BOC.
The CAO operationalizes RA 9280 at the Bureau of Customs.

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UPS sees strong Asia-Pacific business

UNITED Parcel Service (UPS) is expecting strong business in its Asia-Pacific operation until year-end after posting substantial growth in the region during the third quarter of the year.
In a report specifically on its Asia-Pacific operations, UPS said it expects a strong last quarter particularly in the small package business. ÒThe company expects the small package business to be strong in the fourth quarter due to the solid performance of international deliveries and the US holiday shipping period. Modest improvement from the supply chain and freight segment over third quarter results is also anticipated,Ó Ken Torok, president of UPS Asia Pacific, said in the report.
ÒWith the growing intra-Asia trade, our aim is to become the partner of choice for Asian businesses looking to expand internationally,Ó he added.
UPS is also taking significant steps to improve profitability of its forwarding and logistics business in a bid to cut non-operating expenses by 20%.
Based on the report, UPS posted export volume growth in the Asia Pacific of nearly 15%.
The company also registered solid revenue and profit growth on the back of a 5% rise in global small package volume and 19.9% increase in international package volume.
Also during the third quarter, the company opened its first retail centers in China. The launch of the UPS Express centers in Shanghai’s central business district is the latest in a series of strategic initiatives to expand UPS’s operations and brand presence in China.
UPS also operates in 23 cities with over 200 points of access in China. The US-listed firm is expected to launch its Shanghai hub early next year but this is not seen to compete with, but complement, its Asia-Pacific hub in the Philippines.

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NEDA, PCCI settle on multi-operator scheme for NH

THE National Economic and Development Authority (NEDA) and the Philippine Chamber of Commerce and Industry (PCCI) have formally expressed their desire to privatize North Harbor using the multi-operator scheme instead of the Philippine Ports Authority (PPA)-approved single-operator.
In a presentation at the joint hearing of the House Committee on Economic Affairs last week, NEDA director general Romulo Neri said both NEDA and PCCI want to have at least two operators competing against each other at the North Harbor.
This is not the first time that PCCI has changed its mind about the privatization scheme. Early this year, it wanted a single-operator scheme, a departure from its earlier proposed two-operator scheme, claiming so many firms competing for a very small market is not viable. It then changed its stand again in October, preferring a phased privatization of the terminal.
PCCI and NEDA each have one seat on the PPA Board.
As a result of the changes, the privatization program — supposed to start before year-end — faces further delays. There are fears that the delay may extend even beyond 2007, next year being an election year where many projects take a back seat to the political intramurals.
PPA general manager Atty. Oscar Sevilla, earlier said NEDA is not acting on its request for clearance of the privatization program since it wants to have a major shift in the terms of reference which the PPA submitted in July.
ÒApparently NEDA want us to have two operatorsÉ they are not acting on our request for clearance,Ó Sevilla said.
He said that if NEDA and PCCI really want to have multiple operators, they should come out with an official stand rather than block the privatization through inaction.
According to PPA officials, inefficiencies at North Harbor have caused many customers to transfer to nearby ports.

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PPA to sink P20M in Currimao port

THE Philippine Ports Authority (PPA) has set its sights on the development of Currimao port in Ilocos Norte in a bid to make it a cargo and tourist cruise hub.
Located on the southwest side of Ilocos Norte facing the South China Sea, the Currimao Port is open to both foreign and domestic trade. The port handles fertilizers, feldspar, petroleum products and cement.
PPA will spend P20.51 million for the construction of a two-storey building on the property. It hopes to award the contract to the winning bidder before Christmas. Construction is expected to take six months.
The cost is outside the P240 million that the PPA is prepared to spend for the proposed cruise ship berth. The port does not belong to the list of priority ports which the PPA would invest on in the next five years.
Mining firms have expressed interest in investing in Currimao port. PPA reported that some investors have already visited the port as well as the private port of Ilocos Norte Mining Co., Inc early this year. It said the firms manifested their interest to use the ports as alternate gateways for domestic and foreign shipments such as iron ore, limestone, aggregates, and manganese.
Earlier, former Philippine Interisland Shipping Association executive director Col. Leonardo Odo–o, said the country does not have a cruise shipping industry due to lack of infrastructure.
ÒHow can cruise ships come to Boracay when there is no port facility there? As a result there are no real cruise ships visiting the country,Ó Odo–o said.
At the moment, the country only has a global passenger terminal in Alava Pier in Subic Bay, which accommodates international cruise ships traveling in the Asia-Pacific region.
Global Terminal and Development, Inc. has infused more than P160 million to transform the 18-hectare former military port facility into a one-stop cruise ship facility with passenger and tourist parks, a warehouse, grain storage facility, and ship repair yard


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New AFPI Board sworn in

Civil Aeronautics Board chief Atty Carmelo Arcilla (extreme left) recently swore into office the new AFPI Board at the Heritage Hotel. From left: Leo M. Tagle, Director (member company - Yusen Air & Sea); Ferdinand Tongson, Director (Agility Logistics, formerly Geologistics Inc.); Ramon De Leon, Director (Pac-Atlantic Lines); Anthony Dexter Yu, Director (All Transport Network); Dominador De Guzman, Sergeant-at-arms (Sky Land Brokerage Inc.); Roy Raralio, 1st Vice President (CPI Transport); Antoinette Reyes, Corporate Secretary (Eagle Express Lines, Inc.); Mariz Regis, PRO (Airspeed International); Rosemary Su, 2nd Vice President (UTI Global Logistics Inc.); Jaime Roxas, President (Jugro Transport Inc.); Cynthia R. Tsui, Chairman of the Board (Asia Overseas Transport); and Eduardo De Guzman Jr., Chairman Emeritus (Skyfreight Forwarders Inc.)


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